Binance Introduces Transparency Tools for Token Analysis

The cryptocurrency exchange Binance has introduced a feature for tracking Locked Addresses and a Concentration Indicator. These new tools aim to assist traders in making more informed decisions when trading crypto assets, as reported in the platform’s blog.

Users can access these features in the “Info” tab on the token’s page both in the web version and in the mobile app, with updates provided in real time.

The Locked Addresses feature allows users to see the portion of a project’s tokens that are locked for a specific time frame (vesting period). By hovering over the “Circulating Supply” metric, detailed information on these addresses is available.

The Concentration Indicator assesses how tokens are distributed among holders. It employs a weighted formula that considers both on- and off-exchange concentration, yielding a score from 0 to 100.

A high score signifies a considerable risk of volatility, as the actions of large stakeholders can substantially impact the asset’s price. Conversely, a low score denotes more widespread distribution and potentially reduced volatility risk.

«Users seek greater transparency and tools to better comprehend the tokens they trade. Binance is not only providing more information about projects; we are setting new market transparency standards,” stated Binance co-founder Yi He.

Previously, Binance integrated CoinMarketCap data to show token unlock schedules and provided access to financial reports from projects.

Notably, in June, Binance’s share of spot trading reached its highest levels in the past year.